MAKING ALGAE EASY .

11/12/16

An introduction to
Sasaran Biofuels Sdn
Bhd

GROUP OVERVIEW
SUMMARY
Group Overview
Our Mission
Group Activities
Biomac
Sasaran Biofuel
Bio Herbal Extracts
The Site Lab, Factory and Ponds
InPremia
Our Algae Lab
Pilot Ponds and PBR
An example of a system
The Algatech Approach
Conclusion

GROUP OVERVIEW

Algaetech Sdn Bhd (Algaetech) was incorporated in Malaysia in 2004 as an investment

holding company with group activities in the micro algae research, development, consultancy,
production and marketing for renewable energy and high value products of
anti-oxidants (better known as functional food).

ALGAETECH GROUP COMPRISES

Research and development of algae for

biofuel

Cultivation of haematococcus pluvialis for production of

astaxanthin
Consultancy of micro algae development for renewable
energy
and high value products from flue gas

GROUP OVERVIEW

Algaetech was founded to :

Acquire specific intellectual property, and exclusive microalgae cultivation

technology for commercial use.

Establish a fully integrated cultivation operation in Malaysia and the region.
Establish quality products from microalgae for the global market.
Establish joint ventures as may be required to advance Algaetech's mission.
Engage in other such beneficial activities related to its existing plan that the
Group determines will benefit its overall business strategy

MISSION
STATEMENT

To become the leading, innovative and advance algae research

and development centre and the largest producer of
algae company in Asia

GROUP ACTIVITIES
The pioneer in R&D and Pre-Commercialisation of algae for biodiesel in
Malaysia.
The project received a Technofund Grant from the Malaysian Ministry of
Science,
Technology and Innovation totaling RM2.0 million (US$600k).

Project Objectives :
To build a commercial algae production pond using the latest and advance technology in Malaysia;
To conduct research and development on the Biological and Chemical Engineering of microalgae
production systems for the Biodiesel production and processing in Malaysia;
To build and set up a Biodiesel processing plant on the extraction and production of biodiesel from
algae;
To patent the IP of the improved algae production and the extraction of Crude Algae Oil and
processed biodiesel from algae;
To market the technology, know-how and the product (algae-based products and biodiesel) locally
and internationally.

GROUP ACTIVITIES

Project Milestone

Milestone

Activities

Output

Scheduled
Completion
date

Signing agreement on
technology transfer.

Signing of agreement on technology

transfer with the patent owner.

Completed

28 November 2007

Suitable algae identified

Isolation, screening and characterization

of microalgae

Completed

1st September 2008

Physiology/biochemistr
y of algae understood

Study of physiology and biochemistry for

algae / chemical and biochemical testes

In Progress

February 2009

Enzyme(s) isolated

Isolation of enzyme which catalyzes a

key metabolic steps in the synthesis of oil
in algae

In Progress

March 2009

Large scale production of

algae in open ponds
accomplish

Carry out performance evaluation,

sample analysis and data collection

In Progress

May 2009

GROUP ACTIVITIES

Sasaran provides project management, technology transfer and technical

expertise to develop a solution to minimize and mitigate CO 2 emissions through
the diversion of the CO2 to open algal ponds and enclosed photobioractors as
algal propagation technologies to consume CO 2 waste streams.

The company is presently consulting a listed company from Indonesia to address

the technology know-how and implementation of microalgae development from
the flue gas of the Groups power plants.

GROUP ACTIVITIES
Utilisation of power plant resources for growing selected
microalgae at a low energy cost for valuable products and
bio-fuels while providing CO2 Sequestering

Low cost algae agriculture

All year algae production

Low cost flue gas, CO2
Low cost water source
Residual energy
Arid land

Smoke fan

Ash collector

Flue gas

Microalgae pond

GROUP
ACTIVITIES
Commercialisation of haematococcus pluvialis for
production of astaxanthin, the first in Malaysia and South
East Asia.
The project is partly funded by Malaysian Technology
Development Corporation (MTDC) for a US$1.0 million
grant and scheduled to commence in March 2009.

The global microalgae market is a multi billion industry and is rapidly expanding.
The farming and processing will be undertaken utilizing Algaetech's new and proprietary technology,
while exploiting existing resources available in Malaysia
BHE will be establishing its plant in TPM. The plant is a sophisticated, highly secure and fully
operational state of the art research facility. Testing has commenced on the proprietary technology
and has been proven successful.
BHE believes that it can supply the global market with a superior quality microalgae at lower cost.
Additionally, by virtue of the cultivation method, BHE can also contribute to preserving environmental
quality and cleanliness.

THE SITE

Pond One

Pond Two

Factory and Lab

STATE OF THE ART

LABORATORY

The Algaetech lab is culturing different types of strains and is being monitored
closely by a group of young researchers and algae consultants. The main objective
is to optimize the growth under tropical environment. With conventional
propagation methodology, coupled with raceway ponds, The Biofence
Photobioractor in collaboration with Ingrepro (Netherlands) and Vericon (Scotland),
Algaetechs facilities will provide the
required R&D for the right strains.

STATE OF THE ART

LABORATORY

STATE OF THE ART

LABORATORY

CULTURING
ACTIVITIES

PILOT POND UNDER

CONSTRUCTION

PROTOTYPE
PHOTOBIORECATOR

A TYPICAL IDEA FOR CO2 SEQUESTERING

AND ALGAE PRODUCTION

THE BASICS

CHEAP, CHEAPER, CHEAPEST CO2

PLENTY OF SUNLIGHT (NOT TOO MUCH)

PROTOTYPE
PHOTOBIORECATOR

Member
Countries
Brunei
Darussalam

Total Area

Population
2004*

(Sq. Km)

(Thousand)

5,765

Cambodia

181,035

Indonesia

1,890,754

GDP 2004
(Million
US$)

Merchandise Trade
2004**
(Million US$)

373

5,181

6,585

13,589

4,517

5,414

216,410

258,266

122,339

Lao PDR

236,800

5,760

2,439

1,004/

Malaysia

330,257

25,580

117,776

221,471/

Myanmar

676,577

54,745

10,463

5,034/

Philippines

300,000

82,664

86,407

76,940/

Singapore

697

4,240

106,884

363,431
190,446

Thailand

513,254

64,469

163,525

Viet Nam

330,363

82,022

45,277

4,465,5
02
549,852

55,261

Sources : Finance and Macroeconomic Surveillance Unit (FMSU) Database for GDP and Merchandise trade
(BOP basis)

ASEAN

800,735 1,047,927

ASEAN Statistical Pocketbook 2005 for Total Area and Population

Notes:
*) 2004 Figures: as proxies, the figures were computed based on the average rate of growth of
1995-2000,
for Brunei Darussalam and Myanmar, (1996-2000 for Lao PDR); and based
on of national projection for
Cambodia, Indonesia, Malaysia, Philippines, Singapore and Viet Nam.
Thailand based on growth
rate 2000-2002

ASEAN ROADMAP FOR RENEWABLE

ENERGY
RESEARCH
RESEARCH AND
AND
DEVELOPMENTS
DEVELOPMENTS

SELF
SELF
SUSTAINING
SUSTAINING

CULTIVATION
CULTIVATION
(LAND)
(LAND)

ALGAE
FOR
ENERGY

ENERGY
ENERGY USER
USER

FINANCING
FINANCING

The Varicon-Aqua Ventures

Malaysia to be the algae hub for Asia.
One stop technology centre for algae
industry
Proven technologies-over 62 units PBR
around the globe.
Asian-European technology.
Quick delivery period

AFFILIATES &
ASSOCIATES

CONCLUSION

In Summary, :

Developed exclusive proprietary microalgae cultivation technology capable of providing a clear

market advantage in the global microalgae cultivation industry.
Positioned the Group to establish the only fully integrated microalgae refinery operation in Asia that
has
been proven to extract bio-fuels and high value products.
Positioned the Group to eventually capitalize and take advantage of the current trend in fuel prices
by
offering our own bio-fuels package coupled with high value products.
Positioned the Group to supply the global market with a superior quality microalgae products.
Inspired to contribute to preserving environmental quality and cleanliness.

Introducing Varicon Aqua Solutions Ltd

Company formed in October 2005 by J.McDonald, D.Guest

Part of a group of companies, Varicon (3D) Drives Ltd, Computec Control &
Automation (A Division Of Varicon (3D) Drives Ltd, Specialising in Power
Electronics and PLC. Mechanical Engineering

21 employees within group. Varicon Aqua Solutions specialise in providing

algae production expertise across a very diverse range of production and
research sectors, nationally and internationally.

Designing, manufacturing, exporting and commissioning the BioFence PBR

globally, which; significantly differentiates Varicon Aqua from many other algae
technology suppliers in the current market, Including design, manufacturing &
installation of data acquisition and process control systems SCADA, HMI etc.

Establishing distribution of Varicon products and services through authorised

outlets in Norway, the Netherlands, France, Australia NZ and Tasmania, east and
west coast USA. NOW ASIA VIA NEW JV CO SASARANVARICONAQU

BioFences Around the Globe.

60 operational units worldwide.

Standard test rig capacities from: 400L to 2400L.

Larger and bespoke systems supplied to order.

Activity

Expanding sales of the BioFence throughout the UK, Ireland, throughout Norway, Sweden,
Denmark, Iceland, Greece, Spain, the Netherlands, Singapore, Malaysia, throughout the USA
(2008 Sapphire Energy, san Diego Utilise BioFence)
Cosmetceutical project in Iceland 2007 and expanded 2008 at Blue Lagoon
(Shell Oil, Algae to fuel project Utilise BioFences 2007 2008)
( 2008 Kuehnle Agrosystems Hawaii utilise BioFences for DARPA program) 2009 additional
installation for production of aqua-feeds (Cargil) .
3 BioFences installations complete at Cal-Poly Dec 2008.
BioFences delivered Malaysia, 2 contracts, installations complete Jan 2009.
BioFence delivered Kentucky University, installation Jan 2009
BioFence delivered USFW, West Virginia, installation Jan 2009
Completed UK power Utility installation on oil fired power station for CO2 abatement R&D.
Value = 350K EU.
1 million US GPA algae Biodiesel/ valorisation project , Montana 2009.under construction
Value = $35 Million USD
Agri-Aqua biomass production in the Netherlands. Additives market
Astaxanthin project in Texas under contract for install 2009
Collaborating on several FP7 research proposals and projects.
Ongoing project management, Including R&D support for existing customers.
Industrial PBR development via SASARANVARICONAQUA in Asia, including project
management of extensive algae biomass production in Thailand and Malaysia.
30

Live algae production

THE Varicon BIOFENCE
WHAT IS THE BIOFENCE?
1.
A HIGHLY EFFICIENT AND RELIABLE METHOD FOR
PRODUCING HIGH DENSITY MONOCULTURES OF
MARINE AND FRESHWATER ALGAE.
WHY CHOOSE A BIOFENCE?
2.
TYPICALLY OPERATES AT DENSITIES OF 10 TO 15
TIMES THAT OF CONVENTIONAL CULTURE METHODS
3.

HIGHLY PRODUCTIVE RELATIVE TO CONVENTIONAL

PRODUCTION METHODS.

4.

DRAMATICALY REDUCES LABOUR REQUIREMENTS

AND ELIMINATES HANDLING PROBLEMS

5.

CAN BE OPERATED FOR PROLONGED PERIODS

WITHOUT CULTURES CRASHING FACILITATED BY
PATENTED TUBE SELF CLEANING MECHANISM

6.

IT IS A CLOSED, CONTOLLED SYSTEM,

ENVORONMENTAL PARAMETERS ARE
AUTOMATICALLY CONTROLLED

7.

SYSTEM EASILY EXPANDED TO MEET INCREASED

PRODUCTION REQUIREMENTS

Productivity
Bag Reactor vs Varicon BioFence

BAG SYSTEM

Nannochloropsis

T production or artificial light

Winter
% harvest rate/day mean cell density
16%
20 million/ml
VARICON BIOFENCE.

Summer production, natural daylight

% harvest rate/day mean cell density
24%
25 million/ml
Nannochloropsis

Winter production or artificial light

% harvest rate/day mean cell density
25%
120 million/ml

Summer production, natural daylight

% harvest rate/day mean cell density
35%
>600 million/ml

Note: This is on the basis of a photoautotrophic process

The Varicon BioFences in Operation

CO2 CAPTURE PROJECT UK

CONSERVATION PROJECT USA

SHELL OIL FUEL PROJECT

EARTH CENTRE UK

The Varicon BioFences in Operation

BioFence in Montana

Oceanic Institute Ohau

Industrial Pilot BioFence

THE Varicon BIOFENCES IN OPERATION

BLUE LAGOON ICELAND

US FISHERIES AND WILDLIFE

BRITISH NUCLEAR FULES LTD

FISH FARM LA CORUNA

BIOFENCES IN OPERATION
INGREPRO NETHERLANDS

UK POWER UTILITY

11/12/16

HAWAII KUEHNLE AGROSYSTEMS

BRITISH NUCLEAR FULES LTD

36

Air
vent

CV2

Pmp3a

T11

pH1a

V19

NB

Opt1a

Pmp4a

NB
vent

T8
a

NB

T7
a

Holding
tank

F5
a

V10a 2 NB

F2a

3 NB

Drai
n

V11a

LQS1a

Overflow
Condensat
e out

2 NB

F4a

V12a

Water

Hot
water
tank

3 NB

CV1a

F1
a

NB
overflow

V17a

V3

NB

Steam
flow in

Header tank

CO2 cylinders
PRV1

U-tube to
stop
ingress of
air

C1a

Inlet 300mm minimum

height above overflow

NB

2 NB

W1

Water
treatme
nt

NB

T9
a

F3a

Dessicator

Injection
control unit

V4a
2 NB
Pmp2a

NRV2 NB

G1

T1

T
2

NB

Dessicator

Common
system

NRV3

Manual
valve

Nutrient
solution

V9a

HX2a

V5a

2 NB

Ambient
conditio
ns PAR1

Fence A only

V18a

Common systems

Minimum
head to be
specified

11/12/16

V6a
T3a

2 NB

T4a
V7a

V14a

HX1a
NBMod 13
P&ID

T6
a

T5
a
V8a

NB

V13

NB

2 NB

V16a
Fill

V15a
Drain

INDUSTRIAL PBR CONCEPT

THE ALGAE
WHAT ARE MICRO-ALGAE?

A DIVERSE RANGE OF PHOTOSYNTHETIC PLANTS COMPRISING 9 THALOID

PHYLA, CHLOROPHYTA, EUGLENOPHYTA, PHAEOPHYTA, CHRYSOPHYTA,
PYRROPHYTA, RHODOPHYTA, CYANOPHYTA, CRYPTOPHYTA,
CHLOROMONADOPHYTA.

TIPICALLY ALL RETAIN A CUTICULAR CELL WALL COMPRISING MAINLY

CELLULOSE.

ALL SPECIES IN THE NATURAL ENVIRONMENT UTILISE LIGHT (PHOTONS)

DISSOLVED CARBON DIOXIDE, & NITRATE, PHOSPHATES, TRACE ELEMENTS
VITAMINS AND MINERALS FOR GROWTH.

DIATOMACIOUS SPECIES REQUIRE AN ADDITIONAL SUBSTRATE IN THE FORM

OF SOLUABLE METASILICATE, THESE SPECIES VARY INSOFAR AS THE
EXOSKELETON COMPRISES MAINLY SILICACIOUS COMPLEXES.

SELECTED STRAINS CONTAINING UP TO 40-50% LIPID ON A DRY WEIGHT

BASIS.
245% PRODUCTION PER DAY POSSIBLE WITH MIXOTROPHIC APPROACH

39

CELL MICROGRAPHS

11/12/16

40

Microalgal Components/extracts

COLOURANTS AND ANTIOXIDANTS: XANTHOPHYLLS

LUTEIN, CAROTENE, VITAMINS

FATTY ACIDS: SATURATED AND POLYUNSATURATED, TRIGLYCERIDES EFAS

ENZYMES: CELLULASE, SUPEROXIDE DISMUTASE,PHOSPHOGLYCERATE

KINASE, LUCERIFASE & LUCIFERIN, RESTRICTION ENZYMES.

SOLUBLE PROTEINS: CARBONIC ANHYDRASE, comprising 236 amino acids

POLYMERS: POLYSACCHARIDES, STARCH, POLY HYDROXYBUTYRIC ACID

SPECIAL PRODUCTS: PEPTIDES, TOXINS, STEROLS, AMINOACIDS.

LUBRICANTS

FUELS: BIOETHANOL, BIOHYDROGEN, BIODIESEL, GREEN DIESEL

RANGE OF APLICATIONS
AQUACULTURE, as feed for fish, shellfish and
crustacea
PHARMACEUTICALS
NEUTRACEUTICALS
BIO-REMEDIATION
CARBON SEQUESTRATION / ABATEMENT
BIO-FUELS
DRUG DELIVERY.
42

Relative Composition of Algae Species

Microalgal Anti-oxidant micrographs

Microalgae Biotechnology
COLOURANTS AND ANTIOXIDANTS:
XANTHOPHYLLS, LUTEIN, CAROTENE, VITAMINS

Lycopene

Lutein

Zeaxanthin

Lutein is one of 600 naturally occurring fat-soluble antioxidant Carotenoid biochemicals

Dunalliela salina, an extremophile can contain up to 95% of total carotenoids as carotene.
(Jimnez and Pick, 1994)

The natural carotene market is estimated to be in the order of 100Mt/A and is valued at
$750/kg (Pulz, 2001)

Fatty Acids

Algae Lipid Yields

Source: Brown et al., 1991 and 1992; Singh and Kumar 1992

Low-Tech Microalgal Production

EvolvingValue Chain
As yet many unidentified functional
components.
Current extraction technologies apply.
Huge scope for substitution or
augmentation of terrestrial sources
Availability and primary production
know-how on the increase

Natural Strains or GMO?

Enzyme production
Varicon BioFence supports
Sapphire R&D for Cellulase
production

Though recent funding streams, and

ongoing research is being carried out, into
strain selection, some of the fastest
growing projects are using GMO.
As has been pointed out:
Genetic and metabolic engineering are
likely to have the greatest impact on
improving the economics of production of
microalgal diesel (Chisti, 2007)
Transgenics are imperative for biofuel
crops (Gressel, 2008)
PBRs provide containment for GMO algae.

Sapphire Energy
http://www.greencrudeproduction.com

Strains of phaeodactylum genetically

modified to excrete cellulase into solution
during primary production

The Algae Biofuel Process

Lipid

Flocculants
Temperature
Light

Time

Temperature

pH

Time

Filter

Nutrients
Species

Feed
Stock

Dewater

Characterise

Bioreactor

Carb.
Silica
CHNS-O

Cell
Lysis
Press

Storage

Protein

Sonic
Grinding

Lipid class
analysis

Total
Lipids

Chain length
distribution

Osmotic
Freeze

Decarboxylation

Protein/Nucleic Acids
High Value Nutraceuticals
Aerobic/Anaerobic Decay

Nutrient
Recovery

Methane
Oxygenated Compounds
Phospholipids

Upgrading
Fuels

Cell
Debris

Waste
Water

Nutrients
Flocculants

Example of Research Initiative

51

Indicative Production Costs

52

Indicative Market Values.

Current estimated worldwide production of algae: 7.2 million Tons/pa

Estimated value: $6.8 billion USD. (Macro & Micro algae)
53

Is current technology up to the challenge?

54

BioFence Test Rig BNFL

55

THANK YOU
______________Aquaculture, Fisheries. Amenities, Renewables
FOR FURTHER INFORMATION CONTACT TECHNICAL SALES AT:

No 241-A, Jalan Ampang

50450,
Kuala Lumpur
Wilayah Persekutuan
Malaysia
Tel: + 603 2144 0140
Fax: + 603 2144 0190
www.sasaran-variconaqua.com
syedisa@algaetech.com.my

Merebrook Business park

Hanley Road
Malvern
Worcestershire
WR13 6NP
Tel: + 44 1684 312980
Fax: + 44 1684 312981
www.variconaqua.com
aqua-solutions@varicon.co.uk